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Administration

Posted on: December 27, 2019

Notice Pursuant to Government Code Sec. 2254.1036

WHEREAS, the CITY OF UNIVERSAL  CITY ("City"), will consider entering into a contingent

fee contract with the law firm of Perdue, Brandon, Fielder, Collins & Mott, L.L.P. ("Firm") 

pursuant to Sec. 2254.106 of the Government Code and hereby posts this notice pursuant to Sec. 

2254.1036 of the Government Code; and

WHEREAS, this notice shall be posted before or at the time of giving the written notice required by 

Government Code Sec. 551.041 for a meeting described by Sec. 2254.1036(2) of the Government Code;

NOW THEREFORE, the City shall announce the following:

A. The City is pursuing a contract with the Firm for the collection of delinquent fines and fees 

owed to the City and through this contract the City seeks to increase recovery of its delinquent 

debts in as expeditious a manner as possible. GOVT. CODE § 2254.1036(1)(A).

B.     The City believes the Firm has the competency, qualifications, and experience necessary to 

fulfill this contract. GOVT. CODE § 2254.1036(1)(B). The Firm has collected delinquent government 

receivables for nearly 50 years, including the collection of delinquent fines and fees. The Firm 

currently has 12 primary offices and multiple satellite offices throughout Texas, Oklahoma and 

Florida. It employs more than 400 individuals, including 52 attorneys. It uses a multi-office, 

fully integrated team approach allowing the City access to all its offices and resources. Its 

collection team consists of long-term Firm employees, including attorneys, call center associates, 

paralegals, law clerks, legal secretaries, collection support personnel and information technology 

experts. The Firm utilizes proprietary collection software that can be tailored to meet any special 

need the City may have. This proprietary software also automates many aspects of the collection 

process, such as: account/debtor research, mailings and phone calls, return mail and address 

updates, payment notification and processing and workflow.

C. The nature of any relationship between the City and the Firm is as follows. GOVT. CODE § 

2254.1036(1)(C).

The Firm has represented the City in any past legal matters or collection services.

D.        The City is unable to perform the collection of its delinquent fines and fees. GOVT. CODE

§ 2254.1036(1)(D). The City currently does not have adequate support staff, computer 

software/programming, or experience to internally conduct these collection services and acquiring 

these will result in substantial expense to the City.

E. These collection services cannot be provided for an hourly fee.  GOVT.  CODE  § 2254.1036(1 

)(E). The Criminal Code allows the assessment of a percentage-based fee to recover the costs of 

collecting delinquent fines and fees. This percentage-based fee is assessed only against the debtor 

and not the City or taxpayers of the City.  The collection of delinquent fines and fees is a 

high-volume practice, requiring a significant amount of research, mailing, and handling of 

outbound/inbound calls. An hourly fee for such work will likely exceed the amount of delinquent


fines and fees due. Moreover, the City will bear the cost of these hourly fees and not the debtor, 

because the Criminal Code does not expressly authorize the City to pay for collection services 

based on an hourly fee.

F. The City believes this contingent fee contract is in its best interest. GOVT. CODE § 2254.1036(1 

)(F).  Under the contingent fee contract, the Firm will be paid the amount of the percentage-based 

collection fee, regardless the number of hours the Firm spends researching, contacting and mailing 

to collect the delinquent debt. Additionally, the  percentage-based collection penalty is a 

pass-through expense to the  debtor and not an expense to the City or taxpayers in the City.


Executed this the 27th day of December 2019.


Kim M. Turner, City Manager

On Behalf of the CITY OF UNIVERSAL CITY

Bexar County, Texas


Official Legal Notice...
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